Strategic 05

• Environmental scanning


  In-depth examination of key factors that influence the business operations of a firm
• Environmental scanning


  • Carefully studying a firm's external environment to predict environmental changes and detect changes already underway
  • Critical trends and events will signal an alert before it develops a discernible pattern and before competitors recognize them
• Variables that may affect a firm's short-term and long-term decisions

  • Natural environment
  • Societal environment
  • Task environment
• Natural environment


  Physical resources, wildlife, and climate that are an inherent part of existence on Earth
• Societal environment forces


  • Economic forces
  • Technological forces
  • Political-legal forces
  • Sociocultural forces
• Task environment elements


  • Customers
  • Suppliers
  • Competitors
  • Employees
  • Government Regulations
  • Special Interest Groups
• SWOT Matrix


  Framework used to evaluate a firm's competitive position by listing the conditions inside and surrounding it
• Strengths


  • Internal areas where an organization excels and factors that separate an organization from its competitors
• Weaknesses


  • Internal areas that hinder an organization from performing at its optimum level
• Opportunities


  • Favorable external factors that could give an organization a competitive advantage
• Threats


  • Factors that may pose potential harm to an organization
• PESTEL Analysis


  Tool to identify the external forces that may affect an organization positively and negatively
• PESTEL factors


  • Political
  • Economic
  • Social
  • Technological
  • Environmental
  • Legal
• Porter's Five Forces


  Framework for assessing and evaluating the competitive strength and position of a business organization

  
• Porter's Five Forces


  • Supplier power
  • Buyer power
  • Competitive rivalry
  • Threat of substitution
  • Threat of new entrants

  
• Ecosystem Assessment Tool


  Demonstrates a network composing four types of players in the industry: customers, suppliers, competitors, and complementors
• Ecosystem Assessment Tool players


  • Customers
  • Suppliers
  • Competitors
  • Complementors
• Goal setting is the first stage of the strategic management process.
• The strategic management process consists of five stages, including goal setting.
• Strategic planning involves identifying goals and objectives that align with an organization's mission statement.
• The second step in the strategic planning process is to conduct an internal analysis.
• SWOT Analysis is used as part of the internal analysis phase.
• Strategic planning involves identifying goals and objectives to achieve success.
• Strategy formulation is the second stage of the strategic management process.
• Strengths are positive attributes that give a company a competitive advantage over its rivals.
• Organizational strategy refers to how an organization will compete with other organizations in its environment.
• Organizations need to set clear goals and objectives to achieve their missions.
• SMART stands for Specific, Measurable, Attainable, Relevant, Time-bound.
• Weaknesses refer to negative aspects or limitations of a business, such as poor financial performance or lack of resources.
• External analysis includes analyzing external factors such as competitors, customers, suppliers, economic conditions, legal/regulatory environment, technological advancements, social trends, and political climate.
• Setting SMART goals can be helpful in achieving organizational success.
• Control is the fourth stage of the strategic management process.
• Implementation is the third stage of the strategic management process.
• SWOT Analysis - A tool used to analyze the Strengths, Weaknesses, Opportunities, and Threats of a business or product.
• Porter's Five Forces Model is commonly used in external analysis.
• Internal analysis focuses on analyzing strengths, weaknesses, opportunities, and threats within the organization.
• External analysis focuses on factors outside the control of the company.
• External Analysis - Analyzing external factors such as market trends, competition, economic conditions, etc.
• Internal analysis includes analyzing strengths, weaknesses, opportunities, and threats (SWOT).
• Evaluation is the fifth stage of the strategic management process.